Currencies are trading in a disorderly manner this Friday. While the dollar is falling, the euro benefits from a half-point increase in the European Central Bank's (ECB) policy rate. The South African rand has appreciated against the dollar and the rupee is strengthening.

The dollar fell on Friday. After authorities and banks took steps to ease tensions on the financial system in major markets, risk sentiment improved, distracting attention from other major currencies that fell earlier this week in the wake of banking turmoil. The kiwi rose by 0.3% to $0.62145 and the Australian dollar rose by 0.4% to $0.6684. The Dollar Index slipped 0.12% to 104.27.

The euro, for its part, benefitted modestly from the European Central Bank (ECB)'s half-point increase in the key rate on Thursday. The single currency gained 0.34% on the greenback, to 1.0613 dollars per euro around 19:55 GMT.

For its part, the South African rand appreciated against the weaker dollar on Friday. The rand traded at 18.3300 at 06:56 GMT against the dollar, about 0.4% stronger than its closing level on Thursday.

As far as he is concerned, the Indian rupee strengthened against the US dollar on Friday. It traded around 82.46 per dollar at 11:15 IST, compared to its previous close of 82.73. According to one trader, the currency has strengthened beyond the key level of 82.50 and we expect further dollar sales as risk appetite has improved, but the 82.40-82.50 zone tends to be a resistance zone.